Bybit Opens Doors to Chinese Citizens Abroad Amid Softening Crypto Stance in China

• Bybit, the cryptocurrency exchange headquartered in Dubai, has announced that it will now be catering to Chinese nationals living abroad.
• This development surfaces as the company revises its terms of service, allowing Chinese citizens to register using their ID or passport, provided they are in jurisdictions the platform supports.
• Bybit stands as the second-largest cryptocurrency exchange globally, welcoming 30 million visitors per month, despite its absence in multiple major markets.

Discover how Bybit’s latest policy change is reshaping access to cryptocurrency trading for expatriate Chinese citizens.

Bybit Opens Doors to Chinese Expatriates

Bybit, the world’s second-largest cryptocurrency exchange, has adjusted its terms to allow Chinese citizens residing abroad to access its services. This policy amendment, highlighted by the South China Morning Post, signifies that these individuals can now register on the platform using their Chinese identification or passport, contingent on living in a region where Bybit operates.

Context and Market Presence

Established in March 2018, Bybit has rapidly ascended to become a major player in the global cryptocurrency arena. According to Coingecko, it attracts around 30 million monthly visitors, making it second only to Binance in user engagement. This achievement is noteworthy given that the platform does not cater to users in several prominent countries, including the United States, China, Hong Kong, and Singapore.

Regulatory Shifts and Market Strategy

Bybit’s strategic shift comes in the wake of several regulatory hurdles. In May 2023, the platform withdrew from Canada due to tightening regulatory frameworks, and later that year, it ceased operations in the United Kingdom. These moves reflect the exchange’s response to evolving global regulatory landscapes, prompting a re-evaluation of its market strategy and operational jurisdictions.

China’s Evolving Stance on Cryptocurrencies

Since 2021, China has maintained a stringent stance on cryptocurrency activities, including a ban on Bitcoin mining. However, recent indications suggest a potential softening of these restrictions. The introduction of Bitcoin and Ethereum exchange-traded funds (ETFs) in Hong Kong in April underscores this shift, hinting at a more nuanced approach to cryptocurrency regulation within the region.

VPN Concerns and Access Issues

Despite the welcoming stance towards Chinese expatriates, Bybit continues to block IP addresses originating from mainland China. The platform has yet to clarify its measures for dealing with users who might employ virtual private networks (VPNs) to circumvent these geographic restrictions, leaving a grey area in its enforcement policy.

Conclusion

Bybit’s policy revision represents a significant step in expanding its user base among Chinese nationals living overseas, reflecting its adaptive strategy amid an ever-changing regulatory environment. While challenges remain, particularly concerning VPN usage and access restrictions, this move potentially opens new avenues for growth and user engagement. As regulatory landscapes continue to evolve, Bybit’s actions will be closely watched by industry stakeholders and market participants alike.